This invention relates to new and useful improvements in waterproof shoe construction. The invention utilizes recently-developed liner materials which are impervious to liquid water but pervious to water vapor, allowing for dry and comfortable shoes and boots. In our manufacture, no separate "bootie" insert is required; still, the waterproof lining is not perforated by stitches. The result from our special blend of manufacturing techniques is an economical, sturdy shoe construction.